Hindustan Zinc, a Vedanta Group company, has reported that its net profit in the September quarter was up 33 per cent at ₹2,680 crore against ₹2,017 crore logged in the same period last year on back of higher zinc volumes and prices.
Revenue was up at ₹8,127 crore (₹5,958 crore). Expenses increased to ₹4,778 crore (₹3,571 crore). Cost of zinc production was up 12 per cent at ₹1 lakh per tonne (₹82,208 a tonne). The price of zinc on the London Metal Exchange was up nine per cent at $3,271 a tonne ($2,991) while that of lead and silver were down 16 per cent and 21 per cent at $1,976 a tonne and $19 an ounce. Ebitda in the quarter was up at ₹4,387 crore.
Arun Misra, CEO, said the modern mining assets backed by operational excellence have enabled the company to deliver consistent results in the toughest circumstances.
Sandeep Modi, Deputy & Interim CFO, said the company continues to maintain its cost leadership in the global zinc cost curve despite spiralling energy prices and mounting inflationary pressures.
Better results
With proactive investments in automation and digitalisation along with a sharp focus on cost optimisation initiatives and improvement in overall efficiencies the company is all set to deliver better returns, he said.
As of September-end, the company’s gross investments and cash & cash equivalents were ₹17,807 crore as compared to ₹24,254 crore as of June-end. The company’s net investments as of September end was ₹15,696 crore (₹21,439 crore).
During the quarter, the company paid dividend of ₹8,873 crore and long-term debt repayment (scheduled for Non-Convertible Debentures) of ₹704 crore.
The company pegged mined metal production of 1.05-1.07 lakh tonnes (lt) and refined metal production at 1-1.02 lt in this fiscal.
Saleable silver production is projected at 700-725 tonnes. The project CAPEX for the year is expected to be in the range of $125-150 million, said the company.